(1)

Article 136(1) of Regulation (EC) No 1234/2007 states that the import duty on products falling within CN codes 1001 10 00, 1001 90 91, ex 1001 90 99 (high quality common wheat), 1002, ex 1005 other than hybrid seed, and ex 1007 other than hybrids for sowing, is to be equal to the intervention price valid for such products on importation increased by 55 %, minus the cif import price applicable to the consignment in question. However, that duty may not exceed the rate of duty in the Common Customs Tariff.

(2)

Article 136(2) of Regulation (EC) No 1234/2007 lays down that, for the purposes of calculating the import duty referred to in paragraph 1 of that Article, representative cif import prices are to be established on a regular basis for the products in question.

(3)

Pursuant to Article 2(2) of Regulation (EU) No 642/2010, the price to be used for the calculation of the import duty on products of CN codes 1001 10 00, 1001 90 91, ex 1001 90 99 (high quality common wheat), 1002 00, 1005 10 90, 1005 90 00 and 1007 00 90 is the daily cif representative import price determined as specified in Article 5 of that Regulation.

(4)

Import duties should be fixed for the period from 16 September 2011 and should apply until new import duties are fixed and enter into force,

(1)

Commission Implementing Regulation (EU) No 634/2011 (2) opened a standing invitation to tender for the 2010/2011 marketing year for imports of sugar of CN code 1701 at a reduced customs duty.

(2)

In accordance with Article 6 of Implementing Regulation (EU) No 634/2011, the Commission is to decide, in the light of the tenders received in response to a partial invitation to tender, either to fix a minimum customs duty or not to fix a minimum customs duty per eight digit CN code.

(3)

On the basis of the tenders received for the fourth partial invitation to tender, a minimum customs duty should be fixed for certain eight digit codes for sugar falling within CN code 1701 and no minimum customs duty should be fixed for the other eight digit codes for sugar falling within that CN code.

(4)

In order to give a rapid signal to the market and to ensure efficient management of the measure, this Regulation should enter into force on the day of its publication in the Official Journal of the European Union.

(5)

The Management Committee for the Common Organisation of Agricultural Markets has not delivered an opinion within the time limit set by its Chair,

(1)

Upon a request by Portugal, the Council granted it financial assistance (Implementing Decision 2011/344/EU (2)) in support of a strong economic and financial reform programme aiming at restoring confidence, enabling the return of the economy to sustainable growth, and safeguarding financial stability in Portugal, the euro area and the Union.

(2)

In line with Article 3(9) of Implementing Decision 2011/344/EU, the Commission, together with the International Monetary Fund (‘IMF’) and in liaison with the European Central Bank (‘ECB’), has conducted the first review of the authorities’ progress on the implementation of the agreed measures as of the effectiveness and economic and social impact of those measures.

(3)

Under the Commission’s current projections for nominal GDP growth (-0,7 % in 2011, 0,0 % in 2012, 2,5 % in 2013 and 3,9 % in 2014), the fiscal adjustment path is in line with the Council Recommendation to Portugal of 2 December 2009 with a view to bringing an end to the situation of an excessive government deficit, pursuant to Article 126(7) of the Treaty, and is consistent with a path for the debt-to-GDP ratio of 101,1 % in 2011, 106,2 % in 2012, 107,3 % in 2013 and 106,4 % in 2014. The debt-to-GDP ratio would therefore be stabilised in 2013 and be placed on a declining path thereafter, assuming further progress in the reduction of the deficit. Debt dynamics are affected by several below-the-line operations, including sizeable acquisitions of financial assets, in particular for possible bank recapitalisation and financing to state-owned enterprises (‘SOEs’) and differences between accrued and cash interest payments.

(4)

The quarterly quantitative performance criterion on the general government cash balance for the first half of 2011 was met. However, recent data pointed to an opening gap between fiscal trends and the 2011 deficit targets. Expenditure overruns in the first half of the year, underperforming non-tax revenue, the reclassification of some operations led to a projected shortfall of about 1,1 % of GDP over the whole of 2011. The net costs related to the sale of Banco Português de Negócios (‘BPN’) would add another 0,2 % of GDP to the headline deficit. The authorities have reacted promptly. Budget execution has been tightened, a one-time surcharge on the personal income tax has been introduced, increases in the VAT rates of natural gas and electricity have been brought forward from 2012 and sales of concessions will be stepped up. The authorities should also seek to adopt other consolidation measures of a permanent nature and/or frontload other measures planned for next year. The ongoing process of a phased transfer of banks pension funds to the State social security system should exceptionally provide a buffer towards meeting the deficit target for 2011. The acquired assets of these pension funds should not be used in a way detrimental to long-term fiscal sustainability. The government should not count on further transfers of pension funds to meet the targets for the coming years. Progress is being made to strengthen public financial management through improved reporting and monitoring and reforming the budgetary framework, in line with the recommendations from the Commission services and IMF staff.

(5)

Banks are working towards meeting the higher capital requirements as required by the programme. Existing legislation is being amended to strengthen the augmented solvency support facility. A balanced and orderly deleveraging of the banking sector remains critical, while safeguarding adequate credit for dynamic sectors to spur growth. A buyer for BPN has been found although the deal still needs clearance from Union competition authorities. Progress has also been made to strengthen the supervisory and regulatory framework, including via technical assistance. Portuguese banks passed the July 2011 European Banking Authority (‘EBA’) stress tests with mixed results reinforcing the need to implement the programme reforms to strengthen the sector.

(6)

Notwithstanding the relatively large first disbursement, the government’s cash position remains under strain. This is explained by increasing financing needs from SOEs, a sharp increase in households’ redemption of savings certificates, and persisting financial market stress.

(7)

Progress in labour and product market reforms is essential to restore competitiveness and raise growth potential. In this respect, the special rights of the state in private companies were abolished ahead of schedule. The privatisation programme is being accelerated and broadened. A severe and urgent restructuring of SOEs is at the top of the government’s agenda. Labour market reforms to align the protection and rights under fixed and open-ended contracts and to establish an employer-financed fund for paying out workers’ severance entitlements are advancing. Progress is being made in preparation for a budget-neutral so-called fiscal devaluation, and authorities remain committed to take a major first step in this area with the 2012 Budget. Structural reforms should be implemented decisively and closely monitored.

(8)

In light of these developments, Implementing Decision 2011/344/EU should be amended,

(1)

Article 1(3) is replaced by the following:

(2)

Article 3(5) is amended as follows:

(3)

in Article 3(6), points (a) and (b) are replaced by the following:

(4)

Article 3(8) is amended as follows:

(1)

Upon a request by Ireland, the Council granted financial assistance to it (Implementing Decision 2011/77/EU (2)) in support of a strong economic and financial reform programme aiming at restoring confidence, enabling the return of the economy to sustainable growth, and safeguarding financial stability in Ireland, the euro area and the Union.

(2)

In line with Article 3(9) of Implementing Decision 2011/77/EU, the Commission, together with the International Monetary Fund (IMF) and in liaison with the European Central Bank (ECB), has conducted the third review of the Irish authorities’ progress on the implementation of the agreed measures as well as of the effectiveness and economic and social impact of the agreed measures.

(3)

Under the Commission’s current projections for nominal GDP growth (1,1 % in 2011, 2,8 % in 2012 and 3,8 % in 2013), the fiscal adjustment path is in line with the Council Recommendation to Ireland of 7 December 2010 pursuant to Article 126(7) of the Treaty and is consistent with a path for the debt-to-GDP ratio of 109,9 % in 2011, 116,2 % in 2012 and 119,4 % in 2013. The debt to GDP ratio would peak in 2013 and be placed on a declining path thereafter, assuming further progress in the reduction of the deficit. Debt dynamics are affected by several below-the-line operations, including capital injection into banks in 2011 with net debt-increasing effect of around 6 percentage points of GDP, an assumption to maintain high cash reserves, and differences between accrued and cash interest payments.

(4)

The Irish authorities have indicated that there are very realistic prospects, based on the results of the Liability Management Exercises (LME) conducted thus far, to secure a further EUR 0,51 billion private sector-contribution to the recapitalisation of Bank of Ireland by 31 December 2011. In light of the already large public cost of the bank recapitalisation, and given the conservative approach used to determine Bank of Ireland’s recapitalisation need, it is now deemed unnecessary and indeed inappropriate for Ireland to inject that amount of EUR 0,51 billion in advance of the completion of further private sector-contributions in order to meet the programme deadline, as doing so would result in higher than needed fiscal cost and an unnecessarily high capital adequacy ratio for Bank of Ireland once the proceeds from the further private sector-contribution become available. The deadline for the completion of this part of the recapitalisation of Bank of Ireland has been reset to end 2011.

(5)

In light of these developments, Implementing Decision 2011/77/EU should be amended,

(1)

Article 1(3) is replaced by the following:

(2)

Article 3(7) is amended as follows: